The gross includes the tax amount. LN calculates the tax
amount and the net amount.
Example of Gross amount
Tax rate
16
Entered gross amount
232
Calculated tax amount
232 * 16/116 = 32
Calculated net amount
232 - 32 = 200
Net
The net amount is entered.
The net amount does not include the tax amount. LN calculates the tax
amount and the gross amount.
Example of Net amount
Tax rate
16
Entered net amount
200
Calculated tax amount
200 * 16/100 = 32
Calculated gross
amount
200 + 32 = 232
Note
If the level of tax calculation is Invoice Header, amounts entered are always gross amounts,
even if - in the Tax Codes by Country (tcmcs0136s000) session - Amounts Entered in Financials is set to Net.
Gross over Hundred
The gross amount is entered.
The gross amount does not include the tax amount. LN calculates the tax
amount and the net amount. The tax amount is calculated as a percentage of the
gross amount.
In some countries this method is used for travel and
accommodation costs.